A Day of Silence has swept across the bandwidth of a number of music webcasting services as they protest new royalty rates that could put them out of business for good.
Yahoo Turns Off The Radio
official Yahoo blog how the new rates, effective July 15 and retroactive to January 1, 2006 (not a typo) would devastate what has been a boon for music fans:The situation webcasters are in is simple: the new royalty rates are higher than the revenues anyone can hope to make from related advertising. In other words, we all lose money on Internet radio starting July 15th. Yahoo! has no intention of operating LAUNCHcast radio as a loss-leader. This senseless rate hike needs to be changed, or our business will have to.Yahoo joins major music names like MTV and a host of other sites in protesting the proposed rate increase. Some, like KCRW will loop an hour-long program where webcasters discuss the issue.
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